ATLANTA (AP) — Average bills from Georgia Power will soon increase, not decrease as some might have expected when the company announced last month that its fuel costs had dropped.

The Atlanta Journal-Constitution reports that average bills will climb about 44 cents a month starting in January.

The utility notified state regulators in October that it would apply for a residential rate reduction because the amount it pays for fuel has fallen 7 percent, saving $122 million. The utility can’t profit from lower fuel costs and must pass those savings on to customers.

The Georgia Public Service Commission is expected to approve that reduction, an average of about $1.82 a month.

But Georgia Power officials said Thursday that residential bills will actually rise to pay for costs associated with new construction and energy efficiency programs.

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